Which of the Following Is an Example of a Positive,as

question 40

Multiple Choice

Which of the following is an example of a positive,as opposed to normative,statement?

• A)Inflation is more harmful to the economy than unemployment is.
• B)If welfare payments increase,the world will be a better place.
• C)Prices rise when the government prints too much money.
• D)When public policies are evaluated,the benefits to the economy of improved equality should be considered more important than the costs of reduced efficiency.

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Definitions:

Ledger

A comprehensive collection of a company's accounts, including the financial transactions and balances, used to compile the financial statements.

Transactions

Financial events that affect the assets, liabilities, or equity of a company, including sales, purchases, loans, and payments.

Source Documents

Original records (such as invoices, receipts, contracts) that provide the evidence and details of business transactions.

Business

A commercial organization or enterprise that engages in professional, commercial, or industrial activities.